Why climate tech and data matter for startups

A few months ago at a startup mixer event, I met a founder who said, “I’m not building the next Tesla or planting trees. I just run a software startup.” I smiled. Then asked: “But what if your code could cool the planet?” 🌍 We often think climate solutions are about solar panels, electric cars, or carbon offsets. But the most surprising climate heroes might be sitting behind a laptop.🦸🏼 Here’s what most people miss: Technology startups are already driving real climate impact—just not always in obvious ways.✅ 👉🏼 A logistics AI startup reduced fleet emissions by 27%—just by optimizing delivery routes. 👉🏼 Agri-tech firms are helping farmers cut water usage by 40% through precision irrigation. 👉🏼 SignDesk, an AI-powered contract lifecycle management platform, is helping enterprises go paperless—eliminating thousands of kilos of paper waste and drastically reducing carbon footprints. These aren’t side projects. They’re quiet revolutions. 🙌🏼 And yet, the myth persists: “Climate change is a problem for climate companies.” ❌ Let’s challenge that. 💪🏼 If you’re building tech that increases efficiency, reduces waste, or even just helps people make smarter decisions—you are contributing to the climate fight. 💯 We don’t need every startup to focus on climate. We need more startups to realize they’re already part of the solution. So ask yourself: 1️⃣ Where is your product unintentionally harming—or helping—the planet? 2️⃣ What tiny changes could create a ripple effect across millions of users? 3️⃣ What if innovation isn’t just about disruption, but about preservation? Most doors aren’t locked. They’re just not knocked on. Maybe the key to solving climate change isn’t just in policy or protest—but in your next product sprint. 🚀 Centre for Science and Environment, New Delhi

Diving into the Climate Fintech Landscape 💡 The emergence of fintech companies focusing on innovative climate solutions has gained significant momentum in recent years. They are offering fresh perspectives to financial institutions and corporations, helping them achieve their climate goals. The rising public interest in sustainability is also driving the introduction of regulations aimed at holding corporations accountable and eradicating greenwashing. 🔎 Bridging the Climate Data Gaps Quality data remains the primary ESG challenge facing financial institutions and investors. Private markets, for instance, offer limited climate disclosures. But change is on the horizon, with firms like Novata and ESG Book targeting this particular asset class and aiming to close that data gap. As we transition from a scarcity to an abundance of ESG data, we face the next challenge: standardising data. 👨💻 Addressing Data Integration Challenges Despite improvements in ESG datasets, a ‘one-stop shop’ does not exist yet. Financial institutions find themselves juggling data from multiple vendors to form a clear picture. This data must then be integrated into their internal systems and technology stack, which is often a complex and time-consuming process. Fintechs like Novisto or WeeFin, however, are addressing this issue by developing data operations platforms. 📊 Streamlining Carbon Management We’ve noticed a surge in carbon accounting start-ups offering intuitive software to help companies measure, reduce, and offset their carbon footprint. The space is very well-funded but crowded; we foresee consolidation and predict success for those with robust data capabilities, flexible technology, and value-add services like Greenly | Certified B Corp and Plan A. 🤖 Assessing and Pricing Climate Risks Climate change is no longer a distant reality. Investment managers face the daunting task of integrating climate change projections to assess risk and return expectations that inform security selection in investment portfolios. A few companies are tackling this space, including Jupiter Intelligence and riskthinking.AI in physical risks and Risilience in transition risks. Financial institutions require robust climate intelligence to help them form sound investment decisions 🌍 Carbon: A New Asset Class Decarbonisation is the critical first step towards achieving net zero. This includes initiatives to cut carbon emissions and investments in carbon credits to offset unavoidable emissions. Sylvera, for instance, helps bridge the gap. Their trusted and unconflicted data is helping asset managers evaluate the net-zero plans of investee companies globally. It also facilitates the development of new sustainable investment products. Source: Fidelity International Strategic Ventures - https://bit.ly/3YQx6W0 #Innovation #Fintech #Banking #Neobanks #OpenBanking #OpenAPIs #FinancialServices #Payments #Credit #Investing #OpenData #ESG #Sustainability 

Climate technologies are essential to achieve the Paris Agreement's goal of a 45% reduction in global GHG emissions by 2030 and #NetZero by 2050. Innovations—including energy storage, carbon capture, low-carbon hydrogen, smart grids, and software solutions like climate modeling—are critical in tackling #ClimateChange and resource depletion. The latest report from the Capgemini Research Institute indicates that 67% of executives believe sustainability targets can't be met without these technologies, and 69% see data and digital solutions as key for adoption. Investing in climate tech is crucial for reducing emissions and optimizing resources, with 91% of leading organizations recognizing its importance for #sustainability goals. To enhance adoption, organizations should prioritize innovative business models and digital integration, supported by government assistance. For more insights, read the full report. https://ow.ly/kkiL50TtnGq